We have reduced employees, yet still pay the same bi-monthly fee. Shouldn't it be lower?
Went from 9 employees to 5, yet your charge to process our payroll did not decrease. Surely less work for you should translate to less cost for us, or is your fee a flat fee across the board, regardless of headcount?
Owner and President at Maryland Estate Treasures, Inc.
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Every account is supposed to have an account administrator with Paychex. You can discuss the fees with your account administrator. I have found them to be very helpful!
There is an Employees scale that determines what rate you fall into... so if your employee reduction didn't move you into another rate category, then the rate would remain the same.
There is probably a base rate, determined by a minimum number of employees. As long as you have more than the minimum number of employees, the fee would be reduced if the number of employees was reduced, or increased if you added more employees. I would check your agreement to see how the fee is calculated.
There are several factors that go in to it, not just number of employees, like how often your payroll runs, what services you use, etc. And yes, like Liz said, the number of employees is a range, not just individual.
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